At present, the plastic pipe market degree is high, a large number of production enterprises, but mainly to small and medium enterprises, enterprise competition ability is weak, the scale of the economy, and because the plastic pipe industry brand awareness, market disorder, unreasonable structure, low technical barriers caused by excess production capacity of ordinary pipe, and the gas, the water supply and drainage technology with high content of sewage by PE pressure pipes and large diameter plastic pipe can not fully meet the market demand, especially the fittings of high technical content, complex production process, such as fused fittings and PE ball valve manufacturers, can be less able to provide a full range of products supporting manufacturers in a few more, some still need to import fittings. In addition, the production of qualified and super large caliber plastic pipes for large-scale transportation and energy projects at the national level is a blank.
There are several factors that affect the development of plastic pipe industry：
China's plastic pipe enterprises from the overall point of view of the smaller scale, insufficient funds, technical level is relatively backward.
Although the number of plastic pipe manufacturing enterprises in China is large, the annual production capacity of most enterprises is less than 5000 tons, while the production scale of foreign plastic pipe production enterprises is above 20 thousand tons, and the ratio of pipe and fittings production capacity is unreasonable. At present, the ratio of pipe and pipe production capacity is about 15:1, which is far away from the normal application ratio 8:1, and the variety of pipe fittings is few. In addition, because plastic pipes are mainly used in the field of infrastructure such as communication, construction, gas supply, water supply and drainage, the implementation period of the project is long, which leads to a longer settlement time and a large amount of liquidity. Compared with the developed countries, the technical level of plastic pipe industry in China is weaker than that of the developed countries, and there is still a gap between the research force, the investment and so on. Especially in terms of quality, automation and production continuity, product quality and extrusion volume of plastic pipe processing equipment, mold, there is still a big gap compared with developed countries, and the competitiveness of the international market is not strong enough.
The plastic pipe industry is facing more intense competition.
Compared with the international large-scale plastic pipe production enterprises, domestic enterprises are at a distinct disadvantage in capital, technology, management, scale, large plastic pipe production enterprises may adopt foreign joint ventures, cooperative way to invest in the domestic market competition will be more intense. Domestic enterprises must seize the favorable opportunity of China's development of the market, and actively expand the scale of production, reduce production costs and achieve economies of scale; improve the technical level, increase product variety, improve product structure, to meet the diversified needs of the market, enhance the anti risk ability and market competition ability. In addition, the transportation cost of plastic pipes is relatively high, which often results in a certain sales radius due to the distance of transportation, which impedes the development and growth of plastic pipe enterprises to a certain extent.
The main raw materials depend on the import, and the price fluctuates greatly.
The development of domestic plastic pipe material is greatly lagged behind the development of plastic pipe industry. Compared with foreign countries, it is mainly manifested in the following aspects: the number of special resin is less, the supply of raw materials is insufficient, the quality of products is not stable, the specifications and varieties of products are not matched, and the development of various high-performance brand is not enough. At present, there are only a few resin factories in China, which produce special materials for pipes. The annual import pipe material is equivalent to the domestic production. Therefore, raw materials such as PE and PEX are basically dependent on imports. There is imbalance between supply and demand of PE special materials, and PVC market gap is large. Fundamentally reverse the imbalance between supply and demand situation of special resin pipe production, our country put forward in the "fifteen" plan and vision 2015; according to the performance of plastic products processing in China, the development of special varieties, and based on domestic, to accelerate the development of special resin production system, to ensure the processing performance and quality of products. At present, Shanghai petrochemical and other large domestic chemical enterprises can produce PE80, PE100 and other special resin for pipes. With the development of special materials for domestic plastic pipes, the import of main raw materials will be improved.
In addition, the raw material of plastic pipes is polyethylene (PE), which belongs to downstream products of petrochemical industry. Its price is greatly influenced by the price fluctuation of international crude oil market. Since 2003, the price of the international crude oil market has been increasing. The price of polyethylene (PE) has increased. The production cost of plastic pipe enterprises is increasing, which is not conducive to the steady development of plastic pipe production enterprises.